Gary, Hobart vie to be the home of future convention center

The Lake County Board of Commissioners heard presentations Wednesday from developers and city officials from Gary and Hobart for the construction and operation of a Lake County Indiana Convention Center.

The Hard Rock Casino with the City of Gary, which presented first, has proposed a convention center next to the existing casino in Gary. The casino’s and the city’s proposal would be for a 145,000-square foot building, which includes a 40,000-square foot exhibit hall, an 18,000 square-foot ballroom and two pre-function rooms.

The second floor will have two meeting rooms and administrative offices, and the roof will have an outdoor deck, according to bid documents.

Hobart Mayor Josh Huddlestun pitches the city’s plan to build the Lake County Convention Center. (Alex Kukulka/Post-Tribune)

Gary Mayor Eddie Melton said Wednesday that when he was State Senator he authored a bill, which was signed into law, establishing the Lake County Convention and Economic Development Fund. The fund has been designated for the creation of a convention center in Lake County, the Blighted Property Demolition Fund, and the revitalization of the Gary Metro Station to complement the South Shore Double Tracking project, according to bid documents.

“It’s coming full circle for me as mayor,” Melton said. “(The law), which is the reason why we are here today, allows us to  capture the wagering tax growth from Hard Rock Casino right in Gary, Indiana to invest into this project.”

The casino and the city have formed a private, public partnership, Melton said, and partnered with other companies and organizations to develop and construct the convention center. Hard Rock has committed to pay $1.5 million annually for 20 years toward the convention center, Melton said.

If approved, Melton said the convention center would have the ability to source more than $5 million in funding, which would allow for a full $5 million state match. The operational plan does not include a request for the county to increase its innkeeper’s tax, he said.

A convention center in Gary would have proximity to the Gary International Airport, the South Shore Line and multiple expressways, Melton said. If developed, Melton said the convention center would be more of an entertainment district because it would have space for two hotels and two restaurants, Melton said.

The hotels, which would result in a total of 2,048 hotel rooms around the convention center, would be owned and operated by Hard Rock, said CEO Matt Schuffert.

Schuffert said 92% of the land where the proposed convention center would be is owned by the casino. Casino officials are working with the remaining landowners to fully acquire the land, he said.

Melton said Gary and all of Northwest Indiana would benefit from the proposed convention center.

“This is our chance to really revitalize and rebuild a portion of Northwest Indiana that hasn’t been built up to this point with tourism and hospitality,” Melton said. “This is really a historic opportunity to take advantage of.”

Commissioner Kyle Allen, D-1st, asked when the officials believed the convention center, if approved, would open. Schuffert said, if all goes as planned, it would open July 2027.

Garfield Public/Private LLC and the City of Hobart proposed a convention center at Patriot Park, which is in the I-65 and U.S. 30 interchange development zone.

Garfield Public/Private LLC and the City of Hobart propose a 150,000-square foot convention center with 250-room hotel. On the complex, the plan outlines 48 units of 3-story multi-family homes and eight units of 2-story multi-family homes, according to the bid documents.

Officials with Garfield Public/Private LLC said Patriot Park spreads out over 215 acres, of which 25 acres to 30 acres will be dedicated to the convention center. The goal would be to have a block of rooms in the hotel set aside for the convention center guests, said Steve Galbreath, Chief Development Office with Garfield Public/Private LLC.

Galbreath said the convention center could be built within 24 months of all permits being received and approved.

Raymond Garfield, chairman of Garfield Public/Private LLC, said financing for the convention center would combine public and private funding. The center would pay for its mortgage through bond issuance while also generating funds for the city or county, depending on how the bonds are set up, he said.

Hobart Mayor Josh Huddlestun said the city’s goal would be to establish a convention center that is unique and will benefit all of Northwest Indiana.

“This is going to impact all of the residents,” Huddlestun said. “This is going to have a huge economic impact to the region as a whole.”

Commissioner Michael Repay, D-3rd, said both proposals would be taken under advisement.

“It’s coming full circle for me as mayor,” Melton said. “(The law), which is the reason why we are here today, allows us to  capture the wagering tax growth from Hard Rock Casino right in Gary Indiana to invest into this project.”

The casino and the city have formed a private, public partnership, Melton said, and partnered with other companies and organizations to develop and construct the convention center. Hard Rock has committed to pay $1.5 million annually for 20 years toward the convention center, Melton said.

If approved, Melton said the convention center would have the ability to source more than $5 million in funding, which would allow for a full $5 million state match. The operational plan does not include an increase in innkeeper’s tax, he said.

A convention center in Gary would have proximity to the Gary International Airport, the South Shore Line and multiple expressways, Melton said. If developed, Melton said the convention center would be more of an entertainment district because it would have space for two hotels and two restaurants, Melton said.

The hotels, which would result in a total of 2,048 hotel rooms around the convention center, would be owned and operated by Hard Rock, said CEO Matt Schuffert.

Schuffert said 92 percent of the land where the proposed convention center would be is owned by the casino. Casino officials are working with the remaining landowners to fully acquire the land, he said.

Melton said Gary and all of Northwest Indiana would benefit from the proposed convention center.

“This is our chance to really revitalize and rebuild a portion of Northwest Indiana that hasn’t been built up to this point with tourism and hospitality,” Melton said. “This is really a historic opportunity to take advantage of.”

Commissioner Kyle Allen, D-1st, asked when the officials believed the convention center, if approved, would open. Schuffert said, if all goes as planned, it would open July 2027.

Garfield Public/Private LLC and the City of Hobart proposed a convention center at Patriot Park, which is in the I-65 and U.S. 30 interchange development zone.

Garfield Public/Private LLC and the City of Hobart propose a 150,000-square foot convention center with 250-room hotel. On the complex, the plan outlines 48 units of 3-story multi-family homes and eight units of 2-story multi-family homes, according to the bid documents.

Officials with Garfield Public/Private LLC said Patriot Park spreads out over 215 acres, of which 25 acres to 30 acres will be dedicated to the convention center. The goal would be to have a block of rooms in the hotel set aside for the convention center guests, said Steve Galbreath, Chief Development Office with Garfield Public/Private LLC.

Galbreath said the convention center could be built within 24 months of all permits being received and approved.

Raymond Garfield, chairman of Garfield Public/Private LLC, said financing for the convention center would combine public and private funding. The center would pay for its mortgage through bond issuance while also generating funds for the city or county, depending on how the bonds are set up, he said.

Hobart Mayor Josh Huddlestun said the city’s goal would be to establish a convention center that is unique and will benefit all of Northwest Indiana.

“This is going to impact all of the residents,” Huddlestun said. “This is going to have a huge economic impact to the region as a whole.”

Commissioner Michael Repay, D-3rd, said both proposals would be taken under advisement.

akukulka@chicagotribune.com

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